Underinsured in Alabama: New Fines Affect Drivers

Do you have liability insurance on your car? If not, you could find yourself facing some steep new fines should you be in an accident. Passed in 2016, a new law enforced by the Alabama Law Enforcement Agency (ALEA) requires all drivers to carry liability insurance. The law, which went into effect on November 1, 2017, is designed to impact uninsured motorists in Alabama – almost 13% of all drivers in the state!

Mandatory Liability Insurance
The new law is known as the Mandatory Liability Insurance law, and it requires drivers in Alabama to carry liability insurance that meets a certain minimum amount. Drivers who are pulled over or involved in an accident will face police officers who are now able to determine whether or not the driver carries insurance that meets that minimum. If they do not have the necessary insurance, then they could face fines as well as other civil penalties.

Have you been injured in an automobile accident? If so, the experienced attorneys at Johnston, Moore, and Thompson can help! Reach out to us today, toll free, at 800.240.5770.

In the meantime, let’s take a look at the insurance requirements in Alabama!

Alabama Automobile Insurance Minimum Requirements
As residents of Alabama, drivers in the state should already be used to the idea that they must carry a certain minimum of liability insurance. This law marks a new era of consequences, however, that could actively punish drivers without insurance. If you operate, register, or maintain registration of any kind of motor vehicle that is designed to be used on a public road or highway, you must have liability insurance. The minimum liability insurance amounts in Alabama include:
• $25,000.00 for death or bodily injury to a person.
• $50,000.00 for death or bodily injury to multiple people.
• $25,000.00 for destruction or damage of property.

If you violate the Mandatory Liability Insurance law, uninsured or underinsured motorists face various civil penalties:
• For the first offense, $200.
• For the second offense, $300.
• For each offense subsequent, $400.

Additionally, drivers could have their licenses suspended for up to 90 days should they not pay their penalty within 45 days. Additionally, failing to attend ALEA’s Driver License Division hearing can also result in a suspension. To reinstate a license, the driver in question must pay $100. It should be noted that if you are facing civil penalties, you have the right to appeal and request a hearing to determine whether you had proper insurance when the incident in question took place.

At Johnston, Moore, and Thompson, our attorneys are well-versed in this area and are ready and willing to listen to your experiences. We’re happy to work through your case with you and will fight for your rights. Reach out to us today for a consultation! Contact us, toll free, at 800.240.5770 for more information.